Amazon (NASDAQ: AMZN) had its share of tough times last year. The e-commerce giant swung to its first annual loss in a decade as rising inflation chipped away at profit. The company faced higher costs -- and so did its customers, meaning they had less to spend on Amazon.com.

Considering this and the general economic gloom, Amazon's shares suffered. The stock lost nearly 50% last year. But Amazon has taken measures to turn things around. And the stock has even rebounded, advancing more than 50% so far this year. Now, you may be wondering if Amazon can keep up the pace and what its second half may look like. Well, it might be a spectacular one. Let's find out why.

First, it's important to look at the economic environment. Yes, it remains complicated. But the outlook might be a bit brighter than expected. Earlier in the year, the Federal Reserve modeled for a mild recession later in 2023. But more recently, the Fed changed course, saying a recession probably isn't in the cards. And officials didn't raise interest rates in June. All of this is positive news for households -- and, in turn, for companies like Amazon.

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Source Fool.com